The Wilson Era and Progressivism
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THE WILSON ERA AND PROGRESSIVISM Kinsey Swope | | Antonio Lovato PROGRESSIVISM • The term progressivism is a wide label For economic, political, social, and moral reForms – The outlaw of alcohol – Regulation on child labor – Regulated food production – To bust and regulate trusts – Give the public more control over the government through direct primaries For public oFJice, direct election oF senators, and women’s suFFrage. PROGRESSIVISM CONT. – They sought to build playgrounds, expand schools, and raised minimum wage. – Antitrust laws were strengthened and tariFF was lowered – Congress pushed to create a federally controlled banking system and to improve working conditions. – Four Amendments were passed during the Progressive era including: authorizing an income tax; the direct election oF senators; voting rights For women; prohibiting the manuFacture and sale oF alcohol. WOODROW WILSON • Woodrow Wilson was the 28th president of the United States; 1913-1919 • Argued For a stronger central government, anti-trust legislation, and labor rights • Anti-trust laws are laws intended to prevent predatory/ monopolistic businesses in an open-market economy • Wilson’s platForm was known as “New Freedom” • Because both The House and The Senate were controlled by the Democratic Party, Wilson was able to initiate and carry out his reForms with very little political opposition. • His election to presidency allowed him to reconstruct the diminishing Democratic Party. • Wilson was the President oF the United States during WWI (1914-1918) THE ELECTION OF 1912 • Theodore Roosevelt was the 26th president of the United States and held oFJice From 1901-1909 • In The Election oF 1912 the two Republican competitors were Theodore Roosevelt and William Howard TaFt • The Democratic nominee, and unlikely candidate, Woodrow Wilson was the Jirst Democrat with a chance oF success since the Civil War • At this time the United States was revolving around the idea oF Progressivism, TaFt was rejected as the nominee because he betrayed the progressive platForm. • Roosevelt spoke oF “New Nationalism” which was a very broad plan oF social reForm For America, it also did not consist oF breaking up trusts. • When the election came Wilson had an extraordinary victory. THE ELECTION OF 1912 CONT. •The Election oF 1912 gave Woodrow Wilson an opportunity no Democrat in the past 50 years had been given. •The United States elected Wilson with a mandate From the people to reForm government •The election oF Wilson brought the Democrats into power For the Jirst time since the Civil War. •The election also represented the South’s resurrection into the political world. PRESIDENT-LEGISLATION REFORM • Wilson irst attacked the TariFF issue, speciJically, the Payne-Aldrich TariFF in 1909 – Payne-Aldrich TariFF • Placed tax oF approximately 40% on many commonly imported foreign goods • Kept prices on common goods extremely high • Wilson planned to revise the tariFF law in front oF Congress. – This produced the Underwood Act oF 1913 which reduced the tariFF on all imported goods to nearly 25%. – The Underwood Act also created a Federal income tax. – This was Wilsons irst political victory as president. THE UNDERWOOD-SIMMONS TARIFF OF 1913 • This was the irst law to substantially lower rates in 50 years. • No import duties were charged and was expanded to include iron, steel, wool, and sugar. • Also imposed a Federal graduated income tax; this was made possible by the 16th amendment. • Levied a tax on one percent oF all incomes over $4,000. This did not apply to most Americans because many Americans did not make over that amount. WILSON AND FARM LEGISLATION • Congress passed several pieces of legislation used to assist Farmers, during Wilson’s Jirst term. • Farmers started to be seen not as manual workers but as business people • The Smith-Lever Act oF 1914 – Strengthened the Department oF Agriculture’s extension services – Led to the merging oF large Farming businesses and started to drive out small producers • The Warehouse Act oF 1916 – Permitted the use oF bonded warehouses to store various types oF crops For Farmers • Federal Farm Loan Act – Created the Federal Farm Loan Board and twelve regional Federal Land Banks – Federal Land Banks were designed to support Farms by giving long term loans with low interest rates WILSON AND SOCIAL LEGISLATION • Wilson passed a series oF laws designed to protect consumers and workers as a part oF his Jirst administration • Harrison Narcotic Act oF 1914 – Tightened regulations on pharmaceuticals and identiJied products that were only to be sold with a doctors prescription • Seaman’s Act – Established rules that enForced the Fair treatment and the improvement oF saFety conditions For maritime workers. • Workmen’s Compensation Act oF 1916 – Set up insurance programs that would compensate Federal employees that were injured on the job or Families oF an employees that died while working. • Federal Roads Act – Provided Funding For the development oF a new network oF road ways that would accommodate For new motorized traFJic – Costs were shared between the Federal governments and the states, this established a road-planning system WILSON’S REFORMING OF THE NATIONAL BANKING SYSTEM • BeFore Wilson, the Federal banking system was ineficient • The central bank had little power over the nation’s money and no way to monitor the country’s Jinancial system. • His new central bank would be controlled by smaller banks throughout the country • Democrats believed that the plan was too strong because it showed strong favor for plutocracy. WILSONS REFORMING OF THE NATIONAL BANKING SYSTEM CONT. • Wilson approved the idea but proposed that a board oF overseers appointed by the President should govern the new bank. • After much debate a compromise known as the Federal Reserve Act oF 1913 created the Federal Reserve Bank: numerous branches oF the country’s central bank were put throughout the country which would be controlled by the Federal Reserve Board • The creation oF this new banking system is seen as Wilson’s greatest domestic achievement. FEDERAL RESERVE SYSTEM OF 1913 • The United States’ credit were largely controlled by a small group of banks in the east. • Federal Reserve banks were setup in 12 different regions across the United States -have a map- • Basically “banks For banks”, this means that the Federal Reserves are depositories for all the national banks and state banks iF they chose to participate. • Took over outstanding oF their members in return For Federal Reserve notes, or paper money. • Lowered interest rates supported the growth of business because they began making more money available For expansion • Higher rates help control economic growth and inJlation WILSON’S STRENGTHENING OF THE NATIONS ANTITRUST LAWS • Many oF the nation’s primary industries had developed into trusts. – Trusts are large corporations designed to create a monopoly on a speciJic product by eliminating competition. • Trusts existed on almost every type oF good output; there was a sugar trust, a steel trust, an iron trust, etc. • With the 1890 Sherman Anti-Trust Act President Theodore Roosevelt had achieved success in his ight against trusts but none oF his consequences were accomplished during TaFt’s presidency. – The Sherman Antitrust Act oF 1890 was the Jirst measure passed by Congress to prohibit trusts. WILSON’S STRENGTHENING OF THE NATIONS ANTITRUST LAWS CONT. • Wilson was determined to strengthen the Sherman Act and created commissions and acts to do so. – Federal Trade Commission Act oF 1914 • Was intended to control unFair competition in interstate commerce. • It was designed to investigate companies that were suspected oF unFair practices and could issue cease-and-desist orders. – Clayton Antitrust Act • Passed three weeks aFter the Federal Trade Commission Act. • Exempted labor unions From its provisions, and legalized labor’s right to strike. • Outlawed speciJic business practices such as price discrimination or “tying” which was an agreement that a buyer could not buy products From a competing seller. • Also prevented a company From acquiring stocks oF a competing company. MORAL DIPLOMACY • Moral diplomacy is a Foreign policy that promised to promote human rights and the development oF “constitutional liberty” worldwide, used morality as a guiding principle. – Christian concepts where the base of the guiding principle. – Wilson wanted to use the United States as a model to the rest oF the world. – Moral diplomacy depended on its ability to back up good intentions and moral concepts with military Force MORAL DIPLOMACY CONT. • Wilson supported government as a role in the expansion of international trade. He also saw how the US inancial interests played a role in that expansion, – Expansion was done with or without consent of trading partners – Gap between Wilson’s perception of the US in international affairs and the perceptions of other nations – Wilson was very endocentric and saw United States a Jinical model For the rest oF the world. MORAL DIPLOMACY WITH CHINA • Wilson supported the Chinese Revolution – Viewed it as the birth oF a modern state that overcame a corrupt out of date era – Trying to build Chinese independence, Wilson removed the US From a banking agreement with China. This leFt China very vulnerable to Japan. – In order to replace US military might with the power oF its economy. The US would manage countries Jinancial aFFairs in order to remove European debt, and remove any European interaction with these countries. This authorized the United States to give private loans to China. MORAL DIPLOMACY WITH THE DOMINICAN REPUBLIC • Wilson imposed Free elections in 1913, did not bring republic closer to stability with civil war and revolution constantly under the surface • Wilson’s Secretary oF State, William Jennings Bryan, appealed to the Dominicans to Formally renounce the revolution that did not beneit their country. • In 1915, Wilson ordered the US military to intervene and establish order in the Dominican Republic. The United States occupied the Dominican Republic until 1924. • Haiti had similar revolutionary disturbances as well as was in debt to Europe which persuaded Wilson to also occupy half of Hispaniola until 1934.